Which of following is not a reason for intra-industry trade in homogeneous products?
A) identical and bulky materials
B) joint production of certain kinds of services
C) entrepot trade
D) product differentiation
E) None of the above

Question

Quizplus · Accepted Answer

Intra-industry trade in homogeneous products occurs when countries exchange goods that are similar in nature. Product differentiation (D) is not a reason for this type of trade, as it refers to the trade of slightly different products within the same industry, rather than identical or homogeneous products.

Which of Following Is Not a Reason for Intra-Industry Trade